One company's Balance Sheet shows a huge decrease in its Notes Payable (N/P) in the current year from last year. Which of the following analyses is wrong?

1. The decrease of N/P must have lowered its Net Profit.

2. The decrease of the N/P will reduce the amount ($) of its future Interest Expenses.

3. The decrease indicates that the company has made big payments of its long-term debt during the current year.

4. The decrease must have caused huge negative cash flows.